Questions from Corporate Finance


Q: What are the major lessons to be learned from the minicase about

What are the major lessons to be learned from the minicase about corporate governance?

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Q: Discuss any psychological phenomena that you perceive to have been at work

Discuss any psychological phenomena that you perceive to have been at work in the S&L crisis, emphasizing the implicit option features described in the case. Relate these phenomena to the issues descr...

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Q: Describe the most important factors that impeded the Packard Foundation from diversifying

Describe the most important factors that impeded the Packard Foundation from diversifying, but not the Hewlett Foundation.

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Q: George Vera, CFO of the Packard Foundation, was quoted as

George Vera, CFO of the Packard Foundation, was quoted as saying: “This is a family foundation. The family makes these kinds of decisions, and the board is comfortable with this as a starting point.”...

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Q: Was there an endowment effect at work at the Packard Foundation?

Was there an endowment effect at work at the Packard Foundation?

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Q: In its April 2003 report, the Morgan Stanley team computed EBITDA

In its April 2003 report, the Morgan Stanley team computed EBITDA as “Adjusted Operating Income plus Depreciation Add back.” The adjustment in question is to “Reported Operating Income.” The report ex...

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Q: Does the chapter present any information that would lead you to conclude

Does the chapter present any information that would lead you to conclude that managers at Sun Microsystems were averse to a sure loss? Discuss.

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Q: During its most profitable years in the late 1990s, Sun did

During its most profitable years in the late 1990s, Sun did not carry any debt. In 1999, Sun paid $138.6 million in taxes. Compare the situation at Sun with the situation at Merck in respect to their...

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Q: Discuss the comment Scott McNealy made in his interview about not having

Discuss the comment Scott McNealy made in his interview about not having hired a chief operating officer.

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Q: You can find Sun’s statement of cash flows on the book web

You can find Sun’s statement of cash flows on the book web site. Do these statements suggest that Sun engaged in market timing during the technology bubble?

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